EPF Calculator

What is the Employee Provident Fund (EPF)?

The Employee Provident Fund (EPF) is a retirement benefit scheme maintained by the Employees' Provident Fund Organisation (EPFO) for salaried employees in India.

How Contributions Work

In most standard corporate setups, both the employee and the employer contribute towards the EPF:

• Employee Contribution: Generally 12% of your Basic Salary + Dearness Allowance (DA). This entire amount goes directly into your EPF account.
• Employer Contribution: The employer also matches the 12%. However, it is split into two parts:
  • 3.67% goes to your EPF account.
  • 8.33% goes to the Employees' Pension Scheme (EPS).

Note: If your Basic + DA exceeds ₹15,000, the EPS contribution is usually capped at ₹1,250 per month (8.33% of 15k). The balance of the employer's 12% is then routed to your EPF account. This calculator assumes a simplified structure.

Interest Rate and Compounding

The EPF interest rate is declared annually by the EPFO (currently around 8.25%). The interest is calculated on a monthly running balance but is credited to your account at the end of the financial year. Due to the high interest rate, long lock-in period, and tax-free status at maturity (EEE), EPF remains one of the best debt instruments for wealth creation in India.